I just fixed my electric for 3 years, did i make a mistake with these prices?

[Businessowner123]

I think I let the broker sweet talk me.

He got below my renewal price so I just accepted a unit rate of 37p/kWh

Now I think I just made a costly mistake.

 

[Financial-Modeller]

Nobody knows what energy will cost in future but @NickGrogan may have a better view than most of us.

Similarly to mortgage rates or anything else, if the peace of mind from having known outgoings for three years makes you happier than the uncertainty of not, you haven't made a mistake.

If not, check your contract for a cooling-off period (if you bought as a consumer rather than a business) and/or any break clause

 

[Paul Kelly ICHYB]

He got below my renewal price

By how much?

1 year, probably, yes.
2 years - maybe
3 years -mmmmm

At least you know what the costs will be!

 

[NickGrogan]

You won't have a cooling off period as it's a b2b contract, you could speak to your current supplier and see if they'll beat the price and object to the transfer. They shouldn't do this but many do.

Alternatively, if you haven't submitted your termination notice, or there is debt on the account the current supplier may block the transfer anyway.

37p sounds a bit high for 3 years, but it depends on your location and usage, it might be a reasonable price is your usage is low.

A lot depends on what happens next.

2 years ago there was a lot of comment in the industry about a big broker (since closed) that was signing clients on 5 year deals at 20p per kWh when the market was closer to 13p for 1 year. Now those clients are still paying 20p and will be for another few years, the clients that got the good deals at 13p are renewing at 32-40p.

Prices won't be going down to the old levels of 10-12p in the foreseeable future/ever, and price stability has value.